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Incentive for Transportation Services


									Sample / Template / Example of Incentive Policies / Schemes
Letter for Transporters for saving on account of Materials
Transit Damage in word /.doc Format

Transport Corporation of India
45/1 Malik Bajar
Mumbai – 425 455

Dear Sir

We are despatching about 20000 Trucks in a year from our factory at
Khapoli to various destinations all over India through your transport
companies. Materials got damaged in transit due to mishandling at
transshipment points and we have to lodge substantial claims with
insurance company .We are giving below claims lodged by us and received
during last two years :

           Rs. in lacs
                                    2011-12             2012-13
Value of materials damaged          100.00              200.00
Amount received/receivable          50.00               80.00
% received over claim lodged        50.00               40.00

From the above statement you shall observe that we have incurred a
substantial loss amounting to Rs.50.00 lacs in the year 2011-12 and
Rs.120.00 lacs in the year 2012-13 towards the non-receipt of insurance
claim. These claims are apart from claims we are not lodging with
insurance company as value of loss incurred in a single consignment is
Rs.10000/- and below.

In today's competitive world it is very difficult to survive, if we incur such
type of indirect cost which we can avoid with awareness and alertness at the
time of unloading and loading. With our past experience, we feel that at the
time of unloading at transshipment point, proper care is not taken by you
representative. Following points are to be kept in mind at the time of
unloading and loading at transhipment point :

   1. Packing materials coming from factory along with finished goods
      should be kept properly in your godown and at the time of loading
      should be used properly to avaoid damaged in transit.
   2. Materials must be covered with two tarpaulins.
   3. Handling of lamination boards should be done carefully to avoid
      scratches (paper packing should be intact at the time of unloading
      and loading).

To get motivation and awareness in your representatives, we are
introducing a scheme to benefit your representatives at Nagpur and Kolkata
as follows :

Particulars                                        Incentive awarded
If claims lodges are reduced by 50% in financial   5% of the reduced value of
year 2013-14 than 2012-13                          insurance claim lodged

If claim lodges are reduced by 75% in financial    7%
year 2013-14 than 2012-13
If claim lodges are reduced by 90%                 8%
If claims lodges are reduced by 100%               10%

It does not include water damage, accident in transit. This shall be
transporter wise and delivery wise materials free of damage.

For, Rocket Sale Ltd

Anil Goyel
GM - Logistics

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